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Live From Torrey Beach: Overbought Sectors | Big Picture Weekly Reflections
Did you ever play hot potato as a kid? For those who didn’t, you pass a hot potato around as fast as you can until someone yells “hot potato”. You lose if you get stuck with the hot potato. That’s what the steel sector is like right now. As the…
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Big Picture Weekly Trading Reflections
Reflections The old me was living this quote (watch weekend reflections); a fledgling trader blindly jumping from trade to trade and doing a ton of research, but never truly learning anything. Then ten years ago I started doing a simple weekly “big picture review” that focused on reflection and key…
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Why do traders feel powerless?
Why do traders feel powerless? Because it takes personal responsibility away from you the trader and transfers it to market gods, market makers, algos and quants, big banks, hedge funds or whatever else is conspiring against you. I mean, how in the world can you contend with these powerful forces. You…
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Inaugural #AskPaulAnything Episode 1: Exits, Risk Management, Intraday and Deliberate Practice
In my inaugural episode of #AskPaulAnything, I talk about the the difficulty of stock trading exit strategy and how to simply the process, risk management, a fantastic intraday trade, deliberate trading practice for both newbie and experienced traders, how I use VWAP and more. The Pledge If you honestly don’t…
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Personal Mentoring
Need a mentor to make you a profitable trader? I have been through it all over the past 20+ years of trading (read my story here). Yes, I’ve made all the mistakes and after years of trial, error, and that light bulb moment, figured it out to live my dreams…
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Bad Information Leads To Bad Trades
Most of the trading content you read on social media is garbage. Sure some blogs are good, but most are bad. Yes some tweets are mind-bending, but most are worthless. You know this and have an inkling of what is good and what is garbage. The problem is it all…
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I Will Pass Out If Donald Trump Is Elected President
Donald Trump is bad for Wall Street. He can’t be controlled, he’s a loose cannon, he has ties to the evil Russian empire, he bankrupted his own companies, he hates women, minorities and anybody else making money. Yet I love him. Well not him, but the idea of him winning…
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When You Have Inside Information And Still Lose Trading Apple
I wish I had a best friend named Billy that worked at Apple. I’d call him up and discreetly ask him in hushed tones: “Yo Billy, what’s going on with Apple’s earnings?” He’d hang up on me because everybody knows Apple taps employee phones. So I drive over to his…
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Secret Trading Leak: Your Winning Trades Will Crush You
What if I told you that your wins are your biggest trading problem? That’s right, wins are what hold average traders from moving past break even to profitability. Most traders focus on their losses, completely ignoring the real problem. The hardest trading leaks to identify and correct are the one…
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The Shocking Way That Winning Trades Blow Up Trading Accounts
You may have just crushed it with your biggest winning trade of the year, but you still do not know how to trade. That rush your feeling means it was a bad trade. Good trades are not exciting. If this trade was your biggest win of the year, you probably…
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Market Speculator Weekend Review
Me, Myself and BullsonWallStreetWhile the market consolidated for the 12th straight day by week’s end, I took profits in 3 swing trade positions (LABU, AMBA, EXAS) and entered EXAS, FCX and UGLD. That’s active for such a tight ranging week. Holdovers ERX and TWLO continue to churn. See Full Results (2016…
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How to trade the news with this top secret foolproof plan
Looking back, Brexit was a big deal. Definitely the biggest deal since the banks collapsed in 2008. Think about it. The 5th largest economy in the world left the European Union. What the heck is Google, Amazon and Netflix going to do now? The stock market guru’s over on CNBC…
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The 7 Words You Must Tell Yourself Every Morning
I was once a gambler, but now a trader. I once blew up a 200k account within a matter of weeks. Up until that point, I thought I was a trader. I opened up a trading account during the last stages of the roaring 90s internet boom. For a while…
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How most traders trade without an edge and don’t even know it
There are two mistakes most traders make when building a basket of trading setups. 1. They trade setups without and edge.2. They trade the setup in the wrong market. Your trading “edge” gives you a reliable idea of how much you can expect to win with your setup over time.…
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Smart traders profit from the wisdom and delusions of the crowd
Crowds can be wise, but also manic and delusional. An astute trader learns to differentiate between these two extremes. When there is diversity of opinion, the crowd is a force. The parts think independently, but private judgements combine to join as one powerfully wise collective. Unfortunately this intellectual juggernaught will…
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Only a fool accepts widely held trading maxims
Trading maxims that are treated as gospel, but nobody actually investigates their accuracy. Why do we implement them into our trading plans without investigating? It is because we are sheep, and it’s easier to be a follower. Successful traders think like wolves and never follow the herd. In fact, they…
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It’s the small wins that hurt
This is what holds many traders back. The small wins. Yet we love to take those small wins, and avoid small meaningless losses like the plague. We are afraid of losses. It doesn’t matter it it is big or small, that L is scary. It’s all about the fear of…
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Don’t choose unhappiness over uncertainty
It’s a flaw in our brilliant minds and one that afflicts most traders. It’s a big reason why 90 percent of traders fail. I’m watching one of my students trade a few weeks ago and he keeps taking these ridiculously small wins. Over and over again, he takes these small…
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Subtract Your Way To Trading Success
Swing Trading Master So you know about swing trading breakouts . . . fantastic. You can make a lot of money trading those. So you know about stochastics . . . that’s great. Extreme conditions lead to extreme profits. So you trading using Fibonacci retracements . . . awesome. I…
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Define yourself as a trader
We can choose to define ourselves as traders by the trades we take. This is not about the money we make. Rather it’s the place within the setup that we enter. Do you require more confirmation, content to give up some gain in exchange for safety? Or do you jump…
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Prepare for the worst and the worst Martin Shkeli joke you ever heard
Martin: I have a horrible migraine. Prison guard: A bottle of Advil is $750,000 It’s easy to lose sight of the dangers of trading when things are going well. A few good trades and you are invincible. But it only takes one bad trade to wipe all the profit away.…